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For 9 months of 2021, positive growth dynamics remained in all economic sectors — Aset Irgaliyev

Tuesday, 12 October 2021, 12:47:39

At the government session chaired by the Prime Minister of the Republic of Kazakhstan Askar Mamin, the results of the socio-economic development of the country and the execution of the republican budget for 9 months of this year were considered. The reports on the economic situation in the country and the current state of the revenues and expenditures of the budget were made by Minister of National Economy Aset Irgaliyev and Minister of Finance Yerulan Zhamaubayev.

In January-September, the growth of the economy of Kazakhstan accelerated to 3.4%.

"During the reporting period, there was a revival of the dynamics in the service sector, the growth rates in the real sector are maintained, the trade balance is strengthened due to the accelerated growth of exports and high investment activity in non-extractive industries," said Irgaliyev.

In January-September of this year, according to him, the growth in the real sector amounted to 3.5%. Business activity in the service sector rose to 2.9%. Among the industries, high growth rates are demonstrated by information and communications, construction, trade, water supply, power supply, and manufacturing. There is also growth in agriculture.

An important factor in economic growth is the attraction of domestic and foreign investment. According to the minister, there has been an attraction of significant investments in non-extractive industries.

“In January-September of this year, the growth rate of investments in fixed assets, excluding the mining industry, amounted to 15.1%. Thus, investments grew in construction by 1.3 times, manufacturing industry — by 80.6%, trade — by 37.8%, agriculture — by 36.7%, information and communications — by 14.3%, operations with real estate — by 18.9% and financial activity — by 15.6%,” Irgaliyev said.

In the regional context, the best indicators are observed in the cities of Shymkent and Almaty, as well as in the Aktobe region and in the North Kazakhstan region.

Foreign trade turnover increased by 10%. According to the minister, in January-August of this year, foreign trade turnover amounted to $62.8 billion, including the export figure of $37.5 billion. At the same time, the export of processed goods increased by 23.2% to $12.1 billion. $25.4 billion.

In general, the positive trade balance increased by $1.7 billion compared to the previous month and amounted to $12.1 billion.

The manufacturing industry maintains a steady growth trend. In the manufacturing industry, according to the minister, a steady growth trend continues. In January-September of this year, the volume of production increased by 5.7%.

“14 regions showed positive growth. The largest increase is noted in Almaty, Almaty and Kostanay regions. In the context of manufacturing industries, there was a dynamic growth in the production of pharmaceutical products by 38.1%, mechanical engineering products — by 22.8%, including the automotive industry — by 31.6%, the production of cars and locomotives — by 50.5%, building materials — by 10.1%, plastic products — by 31.4%, finished metal products — by 17.2%, clothes — by 14% and furniture — by 14.9%,” Irgaliyev noted.

According to the minister, over the past 9 months, the volume of construction work performed in the country has grown by 9.7% and the construction industry is showing high growth rates. High rates were recorded in all regions. The greatest growth in construction and installation work is noted in Almaty, as well as in Mangystau and Akmola regions.

The positive dynamics also persists in the commissioning of housing. For January-August of this year commissioned 10.4 million sq. m of housing. The growth rate was 8%. Positive dynamics was recorded in 14 regions, among which the highest rates are observed in Atyrau and East Kazakhstan regions.

In agriculture, the growth was 1.4%. Production growth in the industry was recorded in 14 regions. The greatest result was shown by Pavlodar, East Kazakhstan and Karaganda regions.

The general situation in the regional context for 7 economic indicators is as follows.

By all indicators, positive growth is noted in 6 regions — Akmola, Almaty, Zhambyl, Kostanay, as well as in Shymkent city.

According to 6 indicators, growth is observed in 7 regions. These are Atyrau, Karaganda, Kyzylorda, Pavlodar, North Kazakhstan and Turkestan regions, as well as Nur-Sultan.

In 4 regions, growth was recorded in 5 indicators. In the West Kazakhstan region, growth was noted in 4 indicators.

At the end of the report, Irgaliyev proposed a number of measures on which at present it is necessary to focus the efforts of the central and local executive bodies. Among them:

  1. Active and purposeful work to attract and support high-quality investments at all levels of government.
  2. Ensuring the planned growth rates in the manufacturing industry and construction.
  3. Special control over the effective implementation of the Anti-inflationary Response Package.
  4. Vaccination of the population and effective implementation of measures to support entrepreneurship.
  5. Comprehensive support for non-resource exports.

“The implementation of the above measures will ensure a stable and high-quality growth of the country's economy,” summed up Irgaliyev.

The state budget received revenues, excluding transfers, in the amount of 7 trillion 912 billion tenge, or the plan was fulfilled by 104%.

The republican budget received revenues (excluding transfers) in the amount of 5.1 trillion tenge, or the plan was fulfilled by 100.1%.

"In general, the income plan was exceeded by 7 billion tenge, of which taxes were fulfilled for 22 billion tenge, non-tax receipts were not executed for 17 billion tenge," Zhamaubayev reported.

The main amounts of overfulfillment on taxes fall, according to him, on CIT, MET and VAT on TVP.

The overfulfillment of the CIT plan is associated with an increase in the amounts of declared advance payments for 672 large taxpayers by 66.4%. As for the severance tax, the overfulfillment of the plan was influenced by the rise in prices for 9 months of this year. in comparison with the same period in 2020 for the main export positions by an average of 28%. The overfulfillment of the plan for VAT on domestic consumption goods was influenced by an increase in sales turnover according to the IS Electronic Invoices by 19.3%.

At the same time, according to the minister, the plan was not fulfilled for VAT on imports due to a decrease in imports from 3 countries for 8 months of this year. compared to the same period last year by $1.3 billion.

“Revenues of local budgets, excluding transfers, were executed by 111.8% and amounted to 2 trillion 820 billion tenge. The plan was exceeded by 298 billion tenge, of which taxes — by 242 billion tenge. In all regions, income plans have been exceeded,” Zhamaubayev reported.

As for the expenditure side of the republican budget, the execution here was 99.8%, local budgets — 99.7%.

"Compared to the same period last year, the percentage of execution at all levels of budgets is higher," Zhamaubayev said.

Under the republican budget, expenditures were made in the amount of 11 trillion tenge. Non-fulfillment amounted to 19 billion tenge, of which 6 billion tenge are savings. Not utilized — 13 billion tenge.

The main reasons for not mastering, according to the minister, are:

  • payment was made for the actually rendered volume of services;
  • untimely submission of acts of completion, invoices;
  • late submission of invoices for payment to the treasury authorities;
  • carrying out claim work to protect the interests of the state in court.

Local budget expenditures amounted to 5.9 trillion tenge. This year, according to the minister, the regions are provided with targeted transfers in the amount of 2.5 trillion tenge. As of Oct. 1, they were allocated 1 trillion 525 billion tenge. Of these, 99.5% have been mastered.

Not executed — 7 billion tenge, including savings — 3 billion tenge, not mastered — 4 billion tenge. The main audit indicators are as follows. For 9 months of this year cameral control covered more than 675 thousand public procurement procedures for 5.7 trillion tenge.

Based on the results of inspections, violations were found in 32.4 thousand procedures, of which 98% of notifications on elimination of violations were executed by the state audit facilities. 2,542 audit activities were carried out. The audit covered 1 trillion 671 billion tenge of budgetary funds. Financial violations were established for 155 billion tenge.

Violations for 123 billion tenge were eliminated by restoring the supply of goods, providing services and performing work, reimbursing to the budget and reflecting on accounting. More than 2 thousand recommendations were given to improve and increase the efficiency of audit objects.

On the issues of state asset management, the Comprehensive Privatization Plan for 2021-2025 provides for the implementation of 733 objects. During the reporting period, according to the minister, 149 objects were sold and transferred to trust with the right of subsequent redemption in the amount of 50 billion tenge. 120 objects are on sale. 7 objects were sent for liquidation. 397 objects are to be realized.


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